Thailand s Logistics Development & Supply Chain Management toward ASEAN Economic Community (AEC)

Transcription

1 Thailand s Logistics Development & Supply Chain Management toward ASEAN Economic Community (AEC) by Mr. Arkhom Termpittayapaisith Secretary General Office of the National Economic and Social Development Board Presented to ASEAN Logistics Network Symposium / Thailand International Logistics Fair September 2010 BITEC, Bangna, Bangkok 1

2 Agenda 1 The ASEAN Economic Community (AEC) 1 2 Current Logistics Development Highlights of Thailand 2 Next Steps for Thailand 3 3 2

3 ASEAN Community and ASEAN Connectivity Building an ASEAN Community in 2015 ASEAN Connectivity: Connected ASEAN, One Community Many Opportunities Physical Connecti ivity Air, Road, Rail, Maritime, Transport Ports Logistics ICT Energy (ASEAN Power Grids etc.) Institutional Connec ctivity Transport facilitation Free flow of goods/ services/ investment/ skilled labor People to people Conn nectivity HRD by promoting awareness among ASEAN citizens especially youth, strengthening ASEAN identity through education and building ASEAN HR The 15 th ASEAN Summit in Cha-am Hua Hin, Thailand on 24 October, 2009: ASEAN leaders adopted a Statement on ASEAN connectivity The 16 th ASEAN Summit in Hanoi, Vietnam, 8-9 April, 2010: Leaders emphasized the need to identify measure in the Master Plan with clear targets and timelines 3

4 ASEAN Economic Community (AEC) Towards a Single Market and Production Base Free Flows of Goods Free Flows of Services Free Flows of Investment Freer Flows of Capital Free Flows of Skilled Labor Priority Integration Sectors Food, Agriculture and Forestry Towards a Region of Equitable Economic Development SME Development Towards a Highly Competitive Economic Region Competition Policy Intellectual Property Rights Infrastructure Development Taxation E-Commerce Towards Full Integration into the Global Economy Coherent Approach towards External Economic Relations and Enhanced Participation in Global Supply Chain Network Directly related to the logistics development 4

5 GMS China Japan Our Regional Partners ACMECS Korea IMT_GT India BIMSTEC US Russia Australia New Zealand 5

6 Global Trends & Enhancement Approach AEC GMS IMT-GT Regionalization instead of Globalization Green Logistics Liberalization of LSPs Partnership with foreign players MNCs as a competing partner Competition at the National Supply Chain Level Cross-border Trade Facilitation Simplified border procedures Common standards/regulation Information exchange (ASW) Modal Competitiveness to Enhance Cost Efficiency Modal shift Cluster location manufacturing vs. transport facilities Supply Chain Risk Management Optimization of total cost Integration within/across units e.g. production, marketing, distribution etc. Source: Going towards a World-Class Logistics Center in GMS Workshop,

7 Agenda 1 The ASEAN Economic Community (AEC) 1 2 Current Logistics Development Highlights of Thailand 2 Next Steps for Thailand 3 3 7

8 Thailand s Logistics Development Strategy ( ) Vision Objectives Government endorsed on February 27, 2007 To establish a world-class logistics system at both national and industrial levels in order to support Thailand as the Indochina s trade and investment hub 1.To enhance trade facilitation with an aim to increase cost efficiency, customers responsiveness and reliability and security 2.To create value-added for the logistics and other supporting industries Agendas Strategic Business Logistics Improvement Transport and Logistics Network Optimization Logistics Service Internationalization Trade Facilitation Enhancement Capacity Building 8

9 Driving Mechanism for Thailand s Logistics Development Policy Level National Logistics Committee of Thailand Thailand s Logistics Development Strategy ( ) Operational Level Designated Govt. Agency Sub-Committee under the Committee 1 Business Logistics Improvement 2 Transport and Logistics Network Optimization 3 Logistics Service Internationalization 4 Trade Facilitation Enhancement 5 Capacity Building Ministry of Industry/ Ministry of Ministry of Ministry of Finance Ministry of Ministry of Agricultures Transport Commerce Education/ Ministry and Cooperatives of Labor/ NESDB Industrial Logistics sub-committee Agricultural Logistics sub-committee Data Harmonization and Data Integration for Imports, Exports and Logistics sub-committee Sub-Committee under the Designated Govt. Agency National Transport sub-committee Trade Logistics sub-committee Logistics Personal Development and Capacity Building sub-committee 9

10 GMS Connectivity: Transport Corridor Logistics Corridor Transport Corridor Develop infrastructure connectivity 2. TTF Corridor Facilitate cross border transportation and inspection procedure more efficiently 3. Logistics Corridor Promote cross-border logistics providers and trade facilitation 4. Urban Development Corridor Improve infrastructure for economic activities and enhance capacity of cities along economic corridors together with expand public private cooperation 5. Economic Corridor Increase private investment and develop supply chains 10

11 Thai Investment in Infrastructure in Mekong Sub-region 11

12 Recent Thailand s Assistance to Neighboring Countries Highway and Bridge along EWEC The development of western part of EWEC in Myanmar, namely Myawaddy Ko Ka Riek road maintenance (18 kms) and construction (28.6 kms.) and the maintenance of the 1 st Thailand Myanmar Friendship Bridge. Total 1,166 million Baht. Route No.11 (LaoPDR) the development of route 11 in Laos for 92 kms. Total 1,650 milion baht. This road is a scenic route along Mekong river and connect Vientiane with Pak Lai towns. Railways from Thanaleng Vientiane (LaoPDR) The development of rail road from Ta Na Lang to Vientiane 9 Kms. which is a section that supports two of the four GMS railways specified in Strategic Framework for Connecting GMS Railways. Total 1,650 milion baht. 12

13 Key Initiatives: Enhancing Trade Facilitation System Thailand s National Single Window The Customs Department of Thailand is undertaking the National Action Plan for NSW ( ) consisting of : 1. Establishment of National Single Window System 35 Departments in 12 Ministries signed MOU with the Customs Department 2. Reprocess and streamline rules and regulation to support electronic transaction via NSW Stage I (1998 ) Source: Ministry of Information and Communication Technology and INOVA, Kasetsart University Stage II ( ) Stage III ( ) Manual Operations Stage IV ( ) Stage V ( ) Customs EDI Services Cross-border Electronic Transaction & ASEAN Single Window National Single Window Customs Paperless Services 13

14 Pilot Site Ratification Mechanism Capacity Building CBTA Progress Report for Thailand Mukdahan-Savannakhet : Start exchange of traffic rights among Thai LaoPDR - Viet Nam since June 2009 and in process of Customs Transit Systems (CTS) Aranyaprathet Poipet : Delay due to political situation between Thai-Cambodia. Now Thailand start application process for getting permit for cross border traffic Chiang Khong Houay Xai: Negotiation among Thai-LaoPDR-PRC finished. The MOU for IICBTA along the NSEC will be signed within Thailand ratified 14 annexes and protocols under CBTA from total of 20. The remaining 6 documents are in process waiting for the approval of 5 bills by the cabinet and the parliaments Upgrade National Transport Facilitation Committee (NTFC) in Thailand to be chaired by Minister of Transport Establish Border Management Committee (BMC) chaired by Customs Department Capacity Building for truck drivers in Thailand and LaoPDR. Strengthen knowledge for local CIQ staff and people. 14

15 Rationales: 1. Key Initiatives: Key Initiatives: Upgrading Logistics Human Resources and Businesses Severe competition among industries and logistics businesses at both domestic and international levels high-skilled labors with international trade and logistics knowledge are in greater demand 2. Insufficient logistics personnel in both real sectors and logistics service businesses 3. Lack of logistics practical skills found in graduates produced by vocational and graduate institutes Thailand s logistics capacity building action plan ( ) Strategy 1 Upgrading performance and quality of logistics personnel in manufacturing industries and logistics service businesses Strategy 2 Improving curriculums and teaching methodology to obtain a closer linkage between theory and practice Strategy 3 Setting up Occupational Standard and Vocational Qualification for logistics personnel 1. Logistics Clinic offering consultation on logistics management for SMEs 2. Professionalism development plan for Thai truck drivers 3. In universities, using Thailand s logistics case studies as teaching tools in universities and offering Cooperative Education with private companies on logistics degree 15

16 Agenda 1 The ASEAN Economic Community (AEC) 1 2 Current Logistics Development Highlights of Thailand 2 Next Steps for Thailand

17 Example of Supply Chain Re-arrangement: Growth Poles & Growth Nodes in Southern Economic Corridor Source: Economic Research Institute for ASEAN and East Asia (ERIA),

18 Next Steps to Move Forward 2010 Transport Logistics Economic 2015 Completion of National Single Window (NSW) and be ready to connect with ASEAN Single Window (ASW) by Streamlining rules and regulations to support electronic transaction via NSW Accelerate the CBTA with the same standard being adopted among all the member countries and eventually develop all documentation processes into an electronics system Develop information and communication technology in order to track and trace the goods being transferred within the region as well as improve logistics and supply chain management especially on Road Safety and Maintenance issues Capacity building of trade facilitation-related among government officials, private sector, users and operators Promote Business Matching among member countries in order to create worthiness of commodity transportation Develop border cities into the region s gateways with the preparation being emphasis on the issues of Cross-border Facilities/ Single Window Inspection 18

19 Thank you 19